LONDON (Thomson Financial) - Ultra Electronics Holdings PLC said it has agreed to buy Criticom Inc for up to 33 mln usd in cash, adding the acquisition of the US video conferencing company is expected to add to its 2007 earnings.
The defence and aerospace company will pay an initial 28 mln usd and an additional payment of up to 5 mln usd if certain performance-based measures are met by June 30 2008.
'Criticom is a company that complements Ultra's existing battlespace IT and secure communication systems capabilities,' said Ultra Electronics chief executive Douglas Caster. 'The acquisition of Criticom broadens still further Ultra's range of specialist solutions.'
Ultra Electronics said it will finance the acquisition using its existing facilities. The transaction is expected to be completed within 45 days.
In the year ended Dec 31 2006, Criticom achieved sales of 19.3 mln usd.
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